Standard Chartered Launched Custody for RLUSD Stablecoin
Institutional traders can now utilize RLUSD on the XRP Ledger while maintaining collateral through regulated bank custody.
Updated on Oct. 12, 2026 in Financial Services
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Standard Chartered has launched institutional custody services for the RLUSD stablecoin on the XRP Ledger. The service, regulated by the Dubai Financial Services Authority, allows institutions to manage digital assets via the bank's Dubai International Financial Centre branch.
Why it matters
This partnership provides a mechanism for institutions to deploy regulated stablecoins while maintaining traditional custody standards. It addresses capital efficiency by allowing firms to use RLUSD as trading collateral without moving underlying tokens to the LMAX platform.
The XRP Ledger recorded more than 600,000 daily payments in late September 2026 and reached a cumulative total of over 13.94 million transactions. The ecosystem currently supports 169 registered merchants.
The players
Standard Chartered
A global banking institution with a focus on emerging markets that is expanding its presence in the digital asset custody sector.
Dubai Financial Services Authority
The independent regulator for the Dubai International Financial Centre responsible for overseeing financial services activities.
Ripple
A financial technology company that provides a blockchain-based payment protocol and developed the XRP Ledger.
LMAX Group
An institutional exchange operator that provides infrastructure for trading digital assets and foreign exchange.
The details
The service employs a collateral mirroring model that allows institutions to keep assets in custody while using RLUSD as collateral on the LMAX platform. By avoiding the need to transfer tokens directly to the trading venue, firms reduce counterparty exposure. This infrastructure is specifically designed to meet regulatory requirements within the Dubai International Financial Centre.
Timeline
Late September 2026: XRPL recorded more than 600,000 daily payments.
October 12, 2026: Standard Chartered launched RLUSD custody services.
October 2026: Standard Chartered announced Singapore digital asset custody plans.
Market Landscape
This move follows the pattern set by the Dubai Financial Services Authority digital asset framework, which establishes the compliance requirements for bank-led crypto custody services. It marks an expansion of institutional infrastructure that integrates legacy banking with blockchain-based stablecoins.
Operators dealing in digital assets should monitor the integration of collateral mirroring models as a means to improve capital efficiency while reducing counterparty risk. Assess how custody-integrated stablecoin platforms might shift your firm's reliance on secondary trading venues.
The takeaway
The use of regulated custody for stablecoins is signaling a transition toward more risk-averse institutional participation in blockchain markets. Track the upcoming expansion of these custody services into Singapore as an indicator of the bank's long-term digital asset scalability strategy.
Further reading
For broader trends in institutional digital asset adoption, read more in Financial Services.
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Do you trust that institutional custody of stablecoins makes digital asset trading safer for consumers?
